How Workers’ Compensation Works


Workers’ compensation is a type of insurance provided to employees of an organization. In 1915, a law was enacted to ensure employees no longer had to prove negligence on the part of the employer to be compensated for injuries sustained on the job. By 1949, all employers in every state were required legally to provide some sort of worker’s compensation insurance for their workers.

It ensured that workers receive pay and benefits after being injured or falling ill on the job, a trade-off usually exchanged for the employee’s agreement not to sue for any harm sustained. While many on the job injuries can be attributed to the carelessness of the employee, there are others that occur because of negligence on the part of the employer, but today, there is no need to take on the burden of proof.

Negligence by an employer or by fellow employees consists of a multitude of things. The Occupational Safety and Health Act of 1970 (OSH Act) was passed to keep workers from harm while on the job. This law makes sure that employers keep an environment for employees that is free from hazards, such as faulty equipment. This also includes keeping the workplace healthy and free from things like toxins in the air that may make workers ill or unhealthy over time.

Not all employers can be available 24/7 to ensure a safe workplace, so part of this law is to make sure all employees are properly trained in upholding these standards. This also means providing the right equipment for the job, such as ear plugs or protective clothing. You may have seen these OSHA guidelines posted in your workplace, as these regulations must be followed in workplaces across the country. While some laws differ from state to state, the main points are the same – individuals must feel safe coming into work every day.

As mentioned, on the job harm can be caused by negligence on the part of the employee or the employer. Workers’ compensation insurance is important for a company to hold because they may be liable for paying medical bills or lost wages out of pocket when an employee is harmed on the clock, and just like with things like health insurance, we’d be forced to pay the full amount out of pocket if it weren’t for insurance coverage.

As mentioned, all states require employers to provide some type of workers’ compensation coverage, but some who may not be covered by this are freelance workers and those who are self-employed. Workers’ compensation insurance may still be valuable and can be obtained by these types of workers as well through insurance providers. Understanding what’s available to you and what laws your state has is important for both workers and employers.

If you are injured or become ill on the job, you may have a workers’ compensation case at hand. Receiving the insurance compensation provided by employers for on the job injuries or illnesses often removes employers from any liability and leaves employees unable to sue for negligence on the job, so make sure you’re getting exactly what you deserve for the hardships you endured. Employers are required by law to provide a safe and healthy environment for employees, and if these standards aren’t upheld, you may need to take legal action against your employer to ensure your safety and the safety of others.

If you feel the workers’ compensation offered to you will not cover the damages done on the job, it is important to consider your options. Any injuries or illnesses you suffer at work that have been caused by negligence by your employer or by other employees should be looked at by a workers’ compensation attorney who understands the laws that cover employment in your state. These attorneys can assist you in making sure you receive exactly what you deserve and help hold your employer accountable for the negligence.

They’ll be able to give you more information about when to settle your case and when to negotiate for more compensation, based on your personal situation. Understanding what your rights are as a worker is important in every industry. You should be able to go to work every day knowing you and your family will be taken care of in the case of an accident.